The 15 Days Challenge is an online programme designed to teach you all you need to know to be able to grow an online business from nothing. In today’s lesson, I learned about how to make money with a business, as well as the 4 most effective business models.
How a business makes money
There are 3 key principles to making money with a business:
- Get more customers
- Do repeat business with those same customers
- Sell higher-ticket products to increase revenue
A few criteria to build a successful business:
- Be location and time independent
- Be online, with minimal overhead
- Generate fast profits
- Be easy, lucrative and fun (ELF), as opposed to hard, annoying, lame, and frustrating (HALF)
- Match all 3 key principles listed above.
The core 4 Business Models
These 4 core business models match all the criteria listed above:
- Affiliate Marketing. Selling other people’s products and earning a commission on sales.
- Digital Products. Creating digital products like videos, courses, etc… with your (or someone else’s) knowledge and wisdom, and selling them for a medium ticket price.
- Coaching / Consulting. Providing knowledge and wisdom to your customers through 1 on 1 or 1 to many coaching sessions, often for a high ticket price.
- Events / Masterminds. Organizing webinars or similar to dispense knowledge and wisdom to a select audience.
How to evaluate an Affiliate Marketing opportunity
5 things to look for when looking for an affiliate program:
- Product Value. Does this product create value, do people want to buy it?
- Margins. Can I make enough with each sale that I don’t need to sell hundreds a month?
- Tracking. How long does the system track you to the customer? Will I benefit from the sale only once or is it running overtime?
- Marketing Material. Does the company provide great marketing material that converts into sales?
- Integrity. Is the company honest? Does it pay on time?